- Provides Preliminary First Quarter 2018
Results
and Earnings Announcement Date -
BEIJING, April 24, 2018 /PRNewswire/ -- China
Biologic Products Holdings, Inc. (NASDAQ: CBPO, "China Biologic" or
the "Company"), a leading fully integrated plasma-based
biopharmaceutical company in China, today announced that the Company will
release first quarter 2018 financial results on Friday, May 4, 2018 after market close.
The Company also provided preliminary first quarter 2018
financial highlights. Excluding the financial results of TianXinFu,
in which the Company acquired 80% interest at the beginning of
2018, total sales in the first quarter of 2018 is expected to grow
approximately 2% in RMB terms over 2017 first quarter results, and
non-GAAP adjusted net income is expected to decline 12-14% year
over year in RMB terms. Including TianXinFu's contribution, total
sales for the first quarter 2018 is expected to grow approximately
13% in RMB terms, and non-GAAP adjusted net income is expected to
grow 1% to 3% year over year in RMB terms.
Mr. David (Xiaoying) Gao,
Chairman and Chief Executive Officer of China Biologic, commented,
"The ongoing reform headwinds initiated in 2017 in China's healthcare market have further
negatively impacted our sales revenue and profit growth in the
first quarter of 2018. Specifically, plasma product sales volumes
in the direct sales channel declined significantly, reflecting the
strict government policy of capping drug sales revenue to 30% of
total hospital revenue in an effort to lower overall regional
medical insurance spending. In order to comply with this policy,
certain hospitals have implemented limits on high-unit-price plasma
product prescriptions and directly decreased purchasing volumes for
these products. Additionally, the distribution channel has
experienced more intensified competition with further price
discounts among all major plasma products. These challenging market
conditions resulted in further pricing pressure and lower revenue
generated from plasma products than we had expected in early
2018."
These preliminary first quarter 2018 results remain subject to
the Company's review and finalization.
The Company's management will hold a conference call at
7:30 a.m. ET on Monday, May 7, 2018,
which is 7:30 p.m. Beijing Time on
May 7, 2018, to discuss first quarter
2018 results. Listeners may access the call by dialing:
US:
|
1 888 346
8982
|
International:
|
1 412 902
4272
|
Hong Kong:
|
800 905
945
|
China:
|
400 120
1203
|
A telephone replay will be available one hour after the
conclusion of the conference call through May 14, 2018. The dial-in details are:
US:
|
1 877 344
7529
|
International:
|
1 412 317
0088
|
Passcode:
|
10119614
|
A live and archived webcast of the conference call will be
available through the Company's investor relations website at
http://chinabiologic.investorroom.com/.
About China Biologic Products Holdings, Inc.
China Biologic Products Holdings, Inc. (NASDAQ: CBPO) is a
leading fully integrated plasma-based biopharmaceutical company in
China. The Company's products are
used as critical therapies during medical emergencies and for the
prevention and treatment of life-threatening diseases and
immune-deficiency related diseases. China Biologic is headquartered
in Beijing and manufactures over
20 different dosage forms of plasma products through its indirect
majority-owned subsidiary, Shandong Taibang Biological Products
Co., Ltd. and its wholly owned subsidiary, Guizhou Taibang
Biological Products Co., Ltd. The Company also has an equity
investment in Xi'an Huitian Blood Products Co., Ltd. The Company
sells its products to hospitals, distributors and other healthcare
facilities in China. For
additional information, please see the Company's website
www.chinabiologic.com.
Non-GAAP Disclosure
This news release contains a non-GAAP financial measure,
adjusted net income, that excludes from net income non-cash
compensation expenses related to options and restricted shares
granted to employees and directors under the Company's 2008 Equity
Incentive Plan, and amortization of acquired intangible assets. The
Company's management believes that this non-GAAP measure provides
investors with a better understanding of the Company's performance.
This non-GAAP information is not meant to be considered in
isolation or as a substitute for GAAP financials. The non-GAAP
financial information that the Company provides also may differ
from the non-GAAP information provided by other companies. A
reconciliation of GAAP net income and non-GAAP adjusted net income
for the first quarter 2018 will be provided when the Company
announces its complete financial results for the first quarter
ended March 31, 2018.
In addition, as the Company evaluates certain key items of its
financial results on a local currency basis (i.e., in RMB) in
addition to the reporting currency (i.e., in USD), this news
release contains local currency information that eliminates the
impact of fluctuations in foreign currency exchange rates. The
Company believes that, given its operations primarily based in
China, providing local currency
information on such key items enhances the understanding of its
financial results and evaluation of performance in comparison to
prior periods. Changes in local currency percentages are calculated
by comparing financial results denominated in RMB from period to
period.
Safe Harbor Statement
This news release may contain certain "forward-looking
statements" relating to the business of China Biologic Products
Holdings, Inc. and its subsidiaries. All statements, other than
statements of historical fact included herein, are "forward-looking
statements." These forward-looking statements are often identified
by the use of forward-looking terminology such as "intend,"
"believe," "expect," "are expected to," "will," or similar
expressions, and involve known and unknown risks and uncertainties.
Although the Company believes that the expectations reflected in
these forward-looking statements are reasonable, they involve
assumptions, risks, and uncertainties, and these expectations may
prove to be incorrect.
Investors should not place undue reliance on these
forward-looking statements, which speak only as of the date of this
news release. The Company's actual results could differ materially
from those anticipated in these forward-looking statements as a
result of a variety of factors, including, without limitation,
potential inability to achieve the expected production capacities,
potential change in market demand for plasma products, and
potential additional regulatory restrictions on its operations and
those additional risks and uncertainties discussed in the Company's
periodic reports that are filed with the Securities and Exchange
Commission and available on its website (http://www.sec.gov). All
forward-looking statements attributable to the Company or persons
acting on its behalf are expressly qualified in their entirety by
these factors. Other than as required under the securities laws,
the Company does not assume a duty to update these forward-looking
statements.
Contact:
China Biologic Products Holdings, Inc.
Mr. Ming Yin
Senior Vice President
Phone: +86-10-6598-3099
Email: ir@chinabiologic.com
ICR Inc.
Mr. Bill Zima
Phone: +1-646-405-5191
E-mail: bill.zima@icrinc.com
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SOURCE China Biologic Products Holdings, Inc.